As 2015 heads towards the final month of trading, it has been a seesaw year for investors. The Federal Reserve also seems as though they are looking to start raising interest rates in December. It will be important to stay with technology companies that hold an edge in their respective silos. In a new research report from RBC, the technical team is focused on companies that can remain leaders next year when the markets face headwinds that could slow some companies down.
The RBC technical analysts make the case that the long-term uptrend for the S&P 500 should remain intact. However, they are quick to note that the bears would argue 2015 is a cycle peak, and with the big sell-off in August and September breaking the 5 year uptrend, some downside in 2016 is possible. They highlight four companies that could continue strong performance next year, and note that any weakness early in the year, may offer solid entry points.
This is a high profile old-school software company that makes sense for growth accounts. Adobe Systems Incorporated, Inc. (NASDAQ: ADBE) operates in three segments: Digital Media, Digital Marketing, and Print and Publishing. The Digital Media segment provides tools and solutions that enable individuals, small and medium businesses, and enterprises to create, publish, promote, and monetize their digital content.
The Digital Marketing segment offers solutions for how digital advertising and marketing are created, managed, executed, measured, and optimized. This segment provides analytics, social marketing, targeting, media optimization, digital experience management, and cross-channel campaign management solutions, as well as video delivery and monetization to digital marketers, advertisers, publishers, merchandisers, Web analysts, chief marketing officers, chief information officers, and chief revenue officers.
The Print and Publishing segment offers products and services, such as eLearning solutions, technical document publishing, Web application development, and high-end printing, as well as publishing needs of technical and business, and original equipment manufacturers (OEMs) printing businesses.
Adobe is also reasonably safe route for investors looking to own a company with Marketing Automation product, which has become huge. The Thomson/First Call consensus price target for the stock is set at $92.52. Shares closed on Friday at $91.81.
This industry giant is gaining business from Cisco, and others could be added soon. Amphenol Corporation (NYSE: APH) is one of the top picks this year at RBC, and the analysts see the company benefitting from the Cisco strength as about 4% of total sales are to Cisco.
Amphenol is one of the world’s largest designers, manufacturers and marketers of electrical, electronic and fiber optic connectors, interconnect systems, antennas, sensors and sensor-based products and coaxial and high-speed specialty cable. Amphenol designs, manufactures and assembles its products at facilities in the Americas, Europe, Asia, Australia and Africa and sells its products through its own global sales force, independent representatives and a global network of electronics distributors.